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U.K. (FTSE) Banks Industry Analysis

UpdatedMay 21, 2025
DataAggregated Company Financials
Companies12
  • 7D3.0%
  • 3M6.5%
  • 1Y38.3%
  • YTD21.1%

Over the last 7 days, the Banks industry has risen 1.6%, driven by gains from Lloyds Banking Group of 6.3%. This means that the industry has gained 37% over the past year. As for the next few years, earnings are expected to grow by 8.0% per annum.

Industry Valuation and Performance

Has the U.K. Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 21 May 2025UK£331.5bUK£121.7bUK£34.6b8.3x9.6x2.7x
Fri, 18 Apr 2025UK£293.6bUK£123.0bUK£36.4b7.4x8.1x2.4x
Sun, 16 Mar 2025UK£314.4bUK£124.2bUK£37.0b7.4x8.5x2.5x
Tue, 11 Feb 2025UK£306.5bUK£124.1bUK£37.3b6.1x8.2x2.5x
Thu, 09 Jan 2025UK£276.2bUK£124.0bUK£37.3b4.7x7.4x2.2x
Sat, 07 Dec 2024UK£268.8bUK£122.3bUK£36.7b4.9x7.3x2.2x
Mon, 04 Nov 2024UK£257.5bUK£121.1bUK£36.2b4.8x7.1x2.1x
Wed, 02 Oct 2024UK£211.6bUK£95.2bUK£30.1b6.4x7x2.2x
Fri, 30 Aug 2024UK£216.5bUK£97.3bUK£30.6b6.2x7.1x2.2x
Sun, 28 Jul 2024UK£219.9bUK£96.9bUK£31.3b6.5x7x2.3x
Tue, 25 Jun 2024UK£218.2bUK£97.4bUK£31.5b5.9x6.9x2.2x
Thu, 23 May 2024UK£222.9bUK£97.4bUK£31.3b6.1x7.1x2.3x
Sat, 20 Apr 2024UK£233.1bUK£122.3bUK£36.9b5.3x6.3x1.9x
Mon, 18 Mar 2024UK£220.8bUK£120.3bUK£36.3b6.3x6.1x1.8x
Wed, 14 Feb 2024UK£185.1bUK£107.3bUK£36.9b5.1x5x1.7x
Fri, 12 Jan 2024UK£190.7bUK£109.1bUK£37.3b5.4x5.1x1.7x
Sun, 10 Dec 2023UK£199.9bUK£110.1bUK£37.7b5.4x5.3x1.8x
Tue, 07 Nov 2023UK£190.5bUK£110.5bUK£37.9b5.1x5x1.7x
Thu, 05 Oct 2023UK£205.7bUK£105.3bUK£35.0b4.9x5.9x2x
Sat, 02 Sep 2023UK£196.8bUK£103.0bUK£34.2b5.3x5.8x1.9x
Mon, 31 Jul 2023UK£211.4bUK£96.5bUK£32.3b5.2x6.5x2.2x
Wed, 28 Jun 2023UK£219.5bUK£120.1bUK£37.7b5.1x5.8x1.8x
Fri, 26 May 2023UK£228.4bUK£125.1bUK£38.1b5.5x6x1.8x
Sun, 23 Apr 2023UK£225.1bUK£115.2bUK£30.4b6.3x7.4x2x
Tue, 21 Mar 2023UK£210.8bUK£116.0bUK£30.5b6.1x6.9x1.8x
Thu, 16 Feb 2023UK£219.3bUK£88.3bUK£21.8b7.2x10.1x2.5x
Sat, 14 Jan 2023UK£210.9bUK£87.7bUK£21.7b7.1x9.7x2.4x
Mon, 12 Dec 2022UK£183.5bUK£87.4bUK£21.6b6.6x8.5x2.1x
Wed, 09 Nov 2022UK£172.8bUK£91.3bUK£22.3b5.7x7.7x1.9x
Fri, 07 Oct 2022UK£171.4bUK£94.1bUK£24.3b5.5x7.1x1.8x
Sun, 04 Sep 2022UK£188.3bUK£92.2bUK£23.9b6.2x7.9x2x
Tue, 02 Aug 2022UK£190.0bUK£89.3bUK£21.3b6.2x8.9x2.1x
Thu, 30 Jun 2022UK£215.1bUK£113.6bUK£28.5b4.5x7.5x1.9x
Sat, 28 May 2022UK£216.7bUK£111.1bUK£27.9b4.7x7.8x2x
Price to Earnings Ratio

7.8x


Total Market Cap: UK£216.7bTotal Earnings: UK£27.9bTotal Revenue: UK£111.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Banks Industry Price to Earnings3Y Average 7.6x202320242025
Current Industry PE
  • Investors are optimistic on the British Banks industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 9.5x which is higher than its 3-year average PE of 7.6x.
  • The 3-year average PS ratio of 2.2x is lower than the industry's current PS ratio of 2.7x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 7.5% per year over the last three years.
  • Revenues for these companies have grown 3.1% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.K. Financials industry?

GB Market2.11%
Financials2.08%
Banks2.95%
Regional Banks3.78%
Diversified Banks2.95%
Industry PE
  • Investors are most optimistic about the Regional Banks industry which is trading above its 3-year average PE ratio of 16.5x.
    • Analysts are expecting annual earnings growth of 33.2%, which is lower than the prior year's growth of 44.1% per year.
  • Investors are most pessimistic about the Diversified Banks industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 7.6x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 33% over the next 5 years.
  • However this is lower than its past earnings growth rate of 44% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 7.9% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
LLOY Lloyds Banking GroupUK£0.786.3%
+UK£2.9b		38.9%PB1x
NWG NatWest GroupUK£5.165.4%
+UK£2.1b		63.7%PB1x
HSBA HSBC HoldingsUK£8.891.5%
+UK£2.0b		27.4%PB1.1x
BARC BarclaysUK£3.304.0%
+UK£1.8b		51.5%PB0.6x
STAN Standard CharteredUK£11.751.7%
+UK£462.2m		50.9%PB0.7x
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Standard Chartered

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1.7%

1Y

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LLOY

UK£0.78

Lloyds Banking Group

7D

6.3%

1Y

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NWG

UK£5.16

NatWest Group

7D

5.4%

1Y

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